9911796707
TMI Blog2021 (12) TMI 394X X X X Extracts X X X X X X X X Extracts X X X X ..... es the CBDT Circular 3/2016 dated 26.02.2016 squarely applicable as in that Circular, the Board has categorically spelled out that the consideration received on 01.04.2000 to 31.05.2013 would be taxed as capital gains in the hands of the recipients in accordance with section 46A of the Act and no such amount shall be treated as dividend in view of provisions of section 222(iv) of the Act. We are of the considered view that the facts of the case squarely fall within the circular of CBDT [supra] which is binding on the Revenue authorities and has been rightly followed by the first appellate authority. Therefore, no interference is called for. - ITA No. 5559/DEL/2017 [Assessment Year: 2014-15] - - - Dated:- 11-10-2021 - SHRI N.K. BILLAI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ability of this Circular, that the consideration towards buyback of shares had been received by the recipient by 31.05.2013. 3. Briefly stated, the facts of the case are that the Assessing Officer received information on TDS/ITD Module that during the year under consideration, the assessee company has remitted an amount of ₹ 43,42,63,980/- without deduction of tax at source to foreign companies/non-resident persons on account of long term capital gains. Accordingly, a notice u/s 133(6) of the Act was issued to the assessee calling for information/details relating to remittances alongwith reasons for non deduction of tax on such remittances. 4. The assessee filed the following documents in the course of hearing: Copy of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessee company was liable to deduct TDS as the transaction entered into by the assessee company was found to be nothing but only a colourable device as to dodge payment of rightfully imposed taxes; 6. The Assessing Officer was of the firm belief that neither any tax has been deducted at all in respect of the above remittances to the non-residents nor any copy of the order has been furnished by the assessee u/s 195(2) /195(3) of the Act or certificate issued u/s 197(1) of the Act. The Assessing Officer was convinced that the remittances to the non-resident have been made in contravention to the express provisions of the Act and further referring to the rulings of the AAR, was convinced that the amount so remitted to the payee is taxable ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... egorically spells out that the consideration received on buy-back of shares between the period 01 April 2000 till 31 May 2013 would be taxed as capital gains in the hands of the recipient in accordance with section 46A of the Act and no such amount shall be treated as dividend in view of provisions of section 2(22)(iv) of the Act. Further, CBDT directed that as a matter of general principle, no fresh notice for assessment/reassessment/non-deduction of TDS at source shall be issued where buy-back of shares has taken place prior to 01 June 2013 and the case is covered under section 46A read with section 2(22)(iv) of the Act. The circular also mentioned that in cases where notices have already been issued and assessment proceedings are pending ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... personal services, including such gains from the alienation of such a permanent establishment (alone or together with the whole enterprise) or of such a fixed base, may be taxed in that other State. 3. Notwithstanding the provisions of paragraph (2) of this article, gains from the alienation of ships and aircraft operated in international traffic and movable property pertaining to the operation of such ships and aircraft, shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated. 4. Gains derived by a resident of a Contracting State from the alienation of any property other than those mentioned in paragraphs (.1), (2) and (3) of this article shall be taxable only in that S ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
